Capital Credits

One distinct benefit of being a customer of CTC is the return of equity capital – or Capital Credits.

Once every year, a formal accounting determines CTC’s revenue and expenses. Any profits left at the end of the year are allocated to the members and patrons of the cooperative as capital credits. These profits do not belong to the cooperative, they belong to the members and patrons and must either be used to improve or maintain operations or be returned to members and patrons.

Once these profits have been allocated, you will receive a notice of capital credits allocation for the previous year, as well as a notice of the total allocation from prior years that are assigned to your account. This is only a notice for you to keep for your records. Your capital credit allocation is based upon your patronage. This patronage includes telephone service, long distance service, Internet service, digital television, voice mail and other services.

Each year the Board of Directors of CTC, at their discretion, determines if the Cooperative has the financial ability to refund some of the capital credited to its members and patrons. If it is determined to be able to do so, they establish the amount and the method of refunding this money back to the members and patrons.

This process allows your Cooperative to be both financially strong and provide you with state-of-the-art communication services at the lowest possible cost. If you move or disconnect your telephone service, make sure you provide CTC with your current address so that we can mail you your future capital credit allocations and returns.